Accounting Certifications and Designations in the United States: A History of Stress, Conflict, and Consensus and the Market for Certifications

• In Event: Emerging Research and Research Interaction 2

Abstract

A history of accounting certifications and designations encompasses a major part of the history of accounting in the United States. When the Certified Public Accountant movement started in New York City in 1896, the CPA was a certificate that allowed members to "hold oneself out to the public." This gave members prestige, social reputation, and the perception of competence that allowed them to obtain more clients, charge higher billing rates, and be members of an exclusive club. The fact that the certificate had the word "public" in the title by definition narrowed the profession to those that practiced public accounting and made the club very exclusive. But due to the growth of cost accounting in the early part of the 20th century and the passage of the tax amendment in 1913, accounting functions expanded, and CPAs became involved in other areas in accounting. Yet, until the 1970’s, the CPA designation was the only certification option for accountants that provided any national recognition.

Authors

• George Romeo, Rowan University

• Larissa S Kyj, Rowan University